The Asset Forfeiture Unit of the National Prosecuting Authority, has filed for a preservation
order of Shepherd Bushiri's multi-million-rand private jet, amid allegations that he fabricated
loan agreement papers to acquire it.
There are two affidavits available to that effect, one from a detective colonel attached
to the Hawks, and one from the South African Reserve Bank, detailing how cash was used
to pay for the jet.
Hawks spokesperson, Hangwani Mulaudzi, indicated that a preservation order was served on Shepherd
Bushiri on 06 February 2019, at the Pretoria Specialised Commercial Crimes Court.
He has 14 days from that day, to enter an appearance if he intends to oppose the application
for forfeiture.
If he fails to enter an appearance to oppose, in terms of the order, or to comply with the
requirements, he will not be given notice of the application for a forfeiture order,
and will not be entitled to appear at the hearing of the application.
Mulaudizi said that the Hawks' investigation was at a "very sensitive stage".
There is a lot that we gained, and we would not want to jeopardise the co-operation we
have with the witnesses.
We continue to receive magnitudes of information.
We have a strong case with the current matter in court.
An affidavit deposed to, by a Hawks investigator, states that Shepherd Bushiri purchased the
aircraft for $1.25 million in November 2015.
However, last year, the South African Reserve Bank investigators assisted the Hawks, to
probe the purchase of the aircraft.
According to investigators, Bushiri alleged that, the funds he used to secure the aircraft
were obtained from a loan for $1.25 million, from Joint Aviation Resources, and that he
paid the money back.
An investigator from the South African Reserve Bank then requested the bank statements.
But he was unable to trace any transactions that matched the amount.
It was then concluded, that Bushiri might have provided false information to the department,
about how he obtained the funds.
But in his affidavit, Bushiri disputed the allegations.
He maintained that the reports were not only factually untrue, but they were also "malicious
as they are intended, and designed to tarnish his good image".
"I have never exported funds, except for the nominal amounts admissible in terms of the
foreign exchange control, or gold from the Republic.
All the relevant times when I travel from the Republic, the South African Police, and
immigration authorities conducted a thorough check on my person, and all those accompanying
me, which in itself would negate any export of funds, or gold in that sense," he said
in the affidavit.
Shepherd Bushiri added that, his ministry acquired the Gulf-stream from the National
Airways Corporation, at a price of $1.25 million.
He said the funds for the payment of the aircraft were secured by a loan from Joint Aviation
Resources.
"The ministry repaid the funds in South Africa to Joint Aviation Resources.
The source of the repayment of the loan to Joint Aviation Resources was church donations
to the ministry.
Joint Aviation Resources will be in a position to provide proof that it was fully paid,"
he said.
Investigators also interviewed Sabine Stefanie Kruger, a director at Joint Aviation Resources.
She alleged that she had never seen the loan agreement, and did not have any knowledge
of such an agreement.
The signature on the agreement indicates a possible resemblance to that of her husband,
who resigned from his directorship in 2017.
Kruger stated in her affidavit that, Joint Aviation Resources was neither authorised
nor permitted to deal in US dollars or any foreign currency.
"The receipts are false as Joint Aviation Resources does not issue receipts at all.
Joint Aviation Resources only issues invoices to customers," she told investigators.
According to Kruger, the company never received the payments as indicated on the receipts.
She also stated that she had never met Shepherd Bushiri, and that Joint Aviation Resources
didn't do any business with him.
Stefanie Kruger's husband, Henry Kruger, also told investigators that he did not recognise
the loan agreement.
"I also dispute my signature on the said document.
The receipts shown to me are also fabricated as Joint Aviation Resources do not issue such
documents," Henry said in his affidavit.
Investigators concluded, that it was evident that Shepherd Bushiri "intentionally and falsely
presented" to the South African Reserve Bank, that the money he used to buy the aircraft,
originated from Joint Aviation Resources.
The investigator in the matter said, although he was not a handwriting expert, he compared
Henry Kruger's signature, as reflected on the purported loan agreement, with his signature
on his affidavit.
"It is evident that on the face of it, these signatures differ," reads the affidavit.
"In addition, both Stefanie and Henry Kruger confirm that, the receipts provided by Shepherd
Bushiri, to create the impression that the loan amount was repaid to Joint Aviation Resources
are false.
Joint Aviation Resources does not issue receipts at all.
Joint Aviation Resources only issues invoices to customers.
It is evident that in an attempt to explain the origin of the funds, the loan agreement
was fabricated.
It is submitted, that the aircraft was bought under highly questionable circumstances.
On Friday 01 February 2019, the couple were arrested by South Africa’s Directorate for
Priority Investigations, HAWKS, for alleged fraud and money laundering.
The arrest took place at the Sparkling Waters Hotel and Spa, Rustenburg, North West Province
of South Africa.
The HAWKS said that, the case against the couple was linked to alleged offences of fraud
and money laundering, as well as the contravention of South Africa’s Prevention of Organised
Crime Act, which had been committed in 2015.
The contravention of the Act was in relation to Exchange Control Regulations relating to
foreign currency of $1,147,200.
Shepherd Bushiri and his wife, Mary Bushiri, were granted bail, after being held for 5
days.
The Bushiris were granted a R100,000 bail each, totalling R200,000, and their case postponed
to 10 May 2019.
Last year, reports emerged that the Bushiris had been sending about R15 million every month
to Malawi, their home country.
The money was allegedly being transported in their private jet.
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